Stock contains goods unsold on a exacting date. Stock may be opening and closing stock. The term opening stock means goods unsold in the opening of the accounting period. Whereas the term closing stock includes goods unsold at the end of the accounting time.

In accounting there are two general uses of the term stock. One implication of stock refers to the goods on hand which is to be sold to consumers. In that circumstance, stock means inventory. The word stock is also used to signify the ownership shares of a business.

For example, if 1,000 units purchased at $ 10 per unit stay behind unsold, the closing stock is $ 20,000. This will be opening stock of the following year.